Stamford Quarter Sales and Profits Up

Stamford Tyres has released unaudited results for the third quarter of its 2010 financial year – a quarter that, unusually, spans the period between November 1, 2009 and January 31, 2010. The company attained a total revenue of S$81.73 (£) during the quarter, and increase of 29.21 per cent on the same period a year earlier. Net profit amounted to S$2.37 million (£), compared with a profit of only $102,000 during the corresponding quarter of the previous financial year.

In reporting a year-on-year growth in revenue and profit for the quarter ending 31 January, 2010, Stamford notes the results for the same period last year were affected by the financial crisis. Sales resulting from the sale of tyre and wheel products during the recently ended quarter came to S$81.5 million, a growth of 29.5 per cent over the third quarter of 2009. The gross profit margin realised in the quarter was 23.1 per cent compared to 25.1 per cent a year earlier. According to Stamford, this decline was due to higher tyre purchase prices worldwide.

Stamford Tyres Corporation states it expects tougher market conditions in the fourth quarter as tyre manufacturers continue to increase prices due to higher cost of raw materials. In addition, higher global aluminium prices may impact the company’s wheel business. Stamford adds it will continue to actively manage its operating costs, restructure operations where necessary and optimise its product mix.